Gold prices rallied significantly after the latest Consumer Price Index (CPI) report showed a sharper-than-expected drop in inflation. This has led to speculation that the Federal Reserve may have room to hold off on further interest rate hikes, which is bullish for non-yielding assets like gold. The move was also supported by ongoing geopolitical tensions between the US and Iran, which have bolstered gold's appeal as a safe-haven asset.
Gold Surges as Softer Inflation Data Eases Fed Rate Hike Fears
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